BILL NUMBER: S8284B
SPONSOR: BASKIN
 
TITLE OF BILL:
An act to amend the executive law, in relation to the utilization of
minority and women-owned business enterprises, service-disabled veter-
an-owned businesses, small businesses and microbusinesses by private
businesses operating in buildings and other structures that were
constructed using state funding
 
PURPOSE:
This bill establishes Article 16-B of the Executive Law to ensure that
private businesses operating in buildings constructed with state fund-
ing, or on state-leased land, continue to meet post-construction diver-
sity, employment, and community benefit requirements. The bill mandates
the participation of minority and women-owned business enterprises
(MWBEs), service-disabled veteran-owned businesses (SDVOBs), small busi-
nesses, and microbusinesses in the operational and maintenance phases
post-construction, and promotes long-term economic equity through robust
compliance, reporting, and enforcement mechanisms.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 adds the following Article 16-B to the Executive Law:
Subsection 340 establishing clear definitions for "minority-owned busi-
ness enterprise," "women-owned business enterprise," "certified
service-disabled veteran-owned business," "small business," "microbusi-
ness," "operating business," and "division," "board," and "minority
group member," along with "state investment."
Subsection 341 creates the structure for the State Division of Post-Con-
struction Commitments and Compliance under the Empire State Development;
develops rules and regulations for private businesses operating in
state-funded buildings or on state-leased land. This would include
utilization goals for MWBEs, women-owned businesses, SDVOBs, small busi-
nesses, and microbusinesses, local hiring practices, creation of a
Community Grant Program, and data-driven community assessment.
Subsection 342 creates the Post-Construction Compliance Review Board,
which would grade quarterly compliance efforts of operating businesses
and oversee enforcement of the community benefit agreements. Subsection
343 sets guidelines of the penalties for non-compliance
Section 2 sets the effective date.
 
JUSTIFICATION:
This legislation addresses a significant gap in New York State's
contracting policies by ensuring that public investment continues to
generate inclusive economic benefits after construction ends. Too often,
commitments to MWBEs, SDVOBs, small and microbusinesses expire once
construction is complete. By establishing enforceable post-construction
goals, hiring standards, and a community grant program, this bill guar-
antees lasting support for disadvantaged communities. The creation of a
compliance division and review board will ensure transparency, account-
ability, and community engagement in the post-construction phase. This
legislation promotes economic inclusion, uplifts small enterprises, and
ensures that state investments yield long-term value for all New York-
ers.
 
LEGISLATIVE HISTORY: New bill.
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This act shall take effect on the one hundred eightieth day after it
shall have become law. Effective immediately, the addition, amendment,
and/or repeal of any rule or regulation necessary for the implementation
of this act on its effective date are authorized to be made and
completed on or before such date.